Hospitality Definition
A bed and breakfast (or B&B) is a small lodging establishment that offers overnight accommodation and breakfast but usually does not offer other meals. Since the 1980s, the term’s meaning has also extended to include accommodations known as “self-catering” establishments. Bed and breakfasts are typically private homes with fewer than 10 bedrooms available for commercial use.
Property Style
Generally, guests are accommodated in private bedrooms with private bathrooms, or in a suite of rooms including an en suite bathroom. Some homes have private bedrooms with a bathroom which is shared with other guests. Breakfast is served in the bedroom, a dining room, or the host’s kitchen.
B&Bs and guest houses may be operated either as a secondary source of income or a primary occupation. Usually, the owners themselves prepare the breakfast and clean the room, etc., but some bed and breakfasts hire staff for cleaning or cooking. Although some bed and breakfast owners hire professional staff, a property that hires professional management is usually no longer considered a bed and breakfast but enters the category of inn or hotel.
Some B&Bs operate in a niche market. Floating bed and breakfast hotels, for example, are a concept originating in Seattle in which a boat or houseboat offers B&B accommodation. (Source: Wikipedia)
Investment Style
Is this the right investment for you?
If you are outgoing and enjoy meeting & hosting a variety of travelers, here are a few things to consider when investing in a B&B. Bed & Breakfast properties tend to be more work and expense-intensive, generally offering upscale amenities and fewer economies of scale due to the limited number of rooms. An owner will have less flexibility for their own personal time or vacations, and backup innkeepers will need to be carefully selected to ensure continuity of expected service levels.
On the upside, owners often develop lasting friendships with guests and can enjoy terrific (free!) word-of-mouth advertising and a strong repeat clientele. A congenial and social personality is a must, as is a willingness to be very hands-on in running your hospitality property.